On paper, availing of a family insurance plan seems like the best option especially when you’re just starting out and about to have a family. It is the kind of low income medical insurance that you’ve long been looking for because besides the usual coverage provided for the person insured, it also provides additional coverage for maternal care and, when you have children, child care as well, including general check-ups for the kids.
The Problem with a Family Insurance Plan
The disadvantages of availing an insurance plan of this type can be summarized with one word: limited. There are so many kinds of limits you’d have to work with that in the end, you’d wonder if paying the higher monthly dues is even worth the hassles you have to deal with.
Family insurance is just like your income tax in a way. It prescribes an age limit on which persons you could legally describe as your dependents. For the purpose of income tax, kids below 18 years old may still qualify as dependents because they haven’t yet reached legal age.
But with insurance companies, the age requirements are a lot tougher. Most family insurance packages only offer healthcare coverage for children of the insured up till a certain age and it’s a lot younger than eighteen. Sometimes, coverage is only provided for those in their toddler or preteen years. Anything older immediately requires a special additional payment or, worse, a separate insurance policy.
Have you ever tried applying for a credit card? Was there an interview? Did it feel grueling or even demeaning? Did it take a long time before your credit card application could even be processed, much less approved? And in the end, what kind of service and credit limit did you get?
The application process for a family insurance plan isn’t any better. Unless everyone in your family is at the peak of health, you, too, could be forced to endure a grueling interview that would allow insurance agents to properly determine how much risk you represent to them.
Also, insurance companies aren’t all that known for fast service either. You would probably have to wait for quite a while before your insurance company considers your application and especially when they find out that you don’t exactly have the best credit score in the world.
When you do get your insurance policy, you realize that it’s a lot less than you’ve hoped for. The coverage is vastly limited, the monthly dues almost exorbitant, and the policies required for refunds and reimbursements are virtually incomprehensible.
Complicated Terms and Conditions for Use
Even barring policies concerning reimbursement, other terms and conditions for the use of your family insurance plan are sure to be complicated. You may need to memorize, for instance, which types of disease your insurance policy could provide discounted or free treatment and which diseases aren’t covered. You’ll also need to find out the exact names of their approved providers because you won’t get to maximize your policy if you receive care from a non-approved healthcare provider.